THE price of black bean plummeted to K680,000 per tonne in a month in the local market, according to Yangon Region Chambers of Commerce and Industry (Bayintnaung Commodity Exchange).
The price of black bean continuously plummeted under K1 million per tonne in the local bean market for lack of demand for the black bean from India, according to the trade data stated by the YRCCI.
Although the black bean touched a high of K2 million per tonne on 29 September, the price speedily fell to K1,320,000 on 28 October.
Myanmar Kyat depreciation against the US dollar is the main reason for decreasing black bean prices. The local dollar exchange rate was at over K3,000 per dollar at the end of September, but it downturned to around K1,800 per dollar on 28 October.
Besides, there are fewer stockpiles in the domestic market.
Since 2017, India has been setting import quota on beans, including black bean, green gram and pigeon pea under the Indian government pulse foreign trade policy for 2015- 2020.
Nevertheless, the Ministry of Commerce and Industry of India issued proclamation S.O.1858 (E) on 15 May 2021 that the three pulses have been changed from a restricted commodity to a free import commodity as of 31 October 2021.
The issuance of bill of lading to import pigeon pea, green gram and black bean needs to be completed by 31 October 2021 and the port clearance of imported cargos should be completed by 30 November, the Ministry of Commerce and Industry of India notified.
A memorandum of understanding was signed on 18 June to export a total of 350,000 tonnes of Myanmar pulses, including 250,000 tonnes of black bean and 100,000 tonnes of pigeon pea to India in five consecutive years (from the 2021-2022 to the 2025- 2026), according to the Ministry of Commerce.
Currently, Myanmar shipped 2,013,125.777 tonnes of beans and pulses to foreign markets through border routes and sea routes from 1 October 2020 to 24 September 2021 in the current financial year 2020-2021, fetching over US$1,556.659 million, according to the figure released by the ministry.
Among those beans and pulses, black beans are the main export item. The country exported a total of 668,633.659 tonnes of black bean, generating an income of $518.749 million.
The black bean plantations yielded around 400,000 tonnes annually in Myanmar, and the bean is mainly exported to India. Similarly, Myanmar has also produced about 50,000 tonnes of pigeon pea yearly and exported them chiefly to India.
Myanmar is the top producing country of black beans that India demands. Besides Myanmar, other beans such as pigeon pea, green gram and yellow pea, are also grown in Australia and Africa, the association stated. — NN/GNLM